High fives

GLEN ANSELL, CEO of the i5 Group, hands over his business card. Nowhere does it say i5. Instead in large letters is the word Virtualbox. The founder of the software solutions company is clearly someone who jumps in with both feet whenever new opportunities arise and Virtualbox is the group's latest venture outside its core business of Microsoft-based customer relationship management (CRM) software.

Virtualbox is an incubation business within the i5 Group set up to take advantage of one of the areas of IT that's showing the most rapid growth (and attracting some of the most hype): software as a service and cloud computing. "It may be the flavour of the month in the tech world but it's got massive potential," says Ansell.

Virtualbox was started 18 months ago. In a business that relies more on intellectual property than capital projects, setting up the data centre to host Virtualbox's clients adds a new dimension to managing the business's finances. The new venture that has already raked in blue chip clients such as Gold Fields should also smooth earnings for the company that's grown on the back of large projects rather than annuity income.

Says Ansell: "Virtualbox offers enterprise products for non-enterprise businesses with no upfront costs and low monthly subscription fees. They can even test it for free before signing up. In a recessionary environment that's an attractive proposition." No wonder Ansell says the venture points to the future of the i5 Group, itself only six years in business.

At the time of i5's founding Microsoft wasn't exactly known for its CRM solutions: the market was dominated by SAP and Oracle, which sold expensive and comprehensive packages to mostly corporate clients. Microsoft's entry into the field played into Ansell's hands and turned i5 into a "Microsoft shop" - along the way earning itself various partner awards, including Independent Software Vendor of the Year in 2007 from the world's biggest software company.

Aligning itself with Microsoft - essentially doing sub-contracting work - also helped the company to secure blue chip clients such as Hollard Insurance and First National Bank early on and benefit from word-of-mouth marketing.

Adding business intelligence, supply chain management and software integration to the mix has meant i5 has grown its turn-over from R4m in 2004, its first full year of operation, to an expected R60m this year.

"The economic slowdown is real and we haven't seen all of it. We've had to restructure the business model of the firm. You quickly become ruthless when there's a threat to your business," says Ansell. Despite the impact of the recession, he's confident business could double again next year. "I want it to be a R1bn business over the next four years."

Growth at i5 has been mostly organic, but Ansell doesn't shy away from acquisitions, buying two small firms to add complementary and managerial skills. "We've always been profitable. I love the idea of continued rapid growth. You're working so hard that the days just blend into one, but that's just what you do. The downsides outweigh the excitement the first time you see R1m, the first time it's R10m."

Ansell says his whole family is entrepreneurial: his father is a well-known property developer, his mother a pharmacist, and his brother is also in the property arena. "I've had zero [financial] help along the way but plenty of mentorship from my father," says Ansell, who founded the company when he was 23.

SNAPSHOT

If you weren't CEO of i5 what would you be doing?

I played semi-professional rugby while at varsity in Stellenbosch. I had to give that up after a knee injury - but that would have been something I'd love doing.

What was the moment that changed your (business) life?

Six months after starting the company, all of a sudden revenues went up more than tenfold on a monthly basis after we landed a contract from the Department of Justice. I spent the next two weeks calling around to find skilled people to hire.

Are you doing what you studied for?

I left school at 17 and first completed a Microsoft Certified Solution Developer (MCSD) before taking a BCom at Stellenbosch. Even while studying I was more involved in entrepreneurial activities than attending class.

Are you happy to go from entrepreneur to manager?

I don't mind being a manager, but my greatest skills lie in taking new ideas and bringing them to market. I'd love to utilise that strength and become involved in private equity and venture capital to support growing businesses.

What motivates you?

Yes, money is a driver, but it's all about passion really. You wake up in the morning wanting to achieve the next part of your dream.

How do you stay busy when you're not at work?

I enjoy squash, mountain biking and playing computer games against mates - when I find the time. My daughter was born two months ago, so my priorities will definitely shift.